Also according to the IMF research the peso is remarkably undervalued in comparison to the USD, they exstimate the exchange rate at PPP (purchase parity power) should be 7.6 instead of current 13.2, meaning living cost in Mexico is about 43% lower than in the USA.

The central bank increased by 50 basis points the rate on its short-term peso rediscounting facility at a policy meeting on Thursday, joining the likes of the United States, Europe and China in withdrawing measures meant to protect their economies from the fallout of the global downturn.